Vanguard: Privacy-Preserving RWA Portfolio Guardian

Vanguard is a privacy-preserving portfolio manager designed for institutions and private funds managing Real-World Assets (RWAs). It operates as an orchestration layer within the Chainlink Runtime Environment (CRE), enabling automated investment strategies while keeping proprietary trading logic and signals completely private.
Institutional investors require both transparency for settlement and privacy for strategy execution. Traditional on-chain systems expose trading logic and signals, which can lead to front-running and loss of competitive advantage. Vanguard solves this challenge by executing proprietary AI-driven strategies off-chain within the CRE’s confidential compute environment while only publishing the final settlement transactions on-chain.
The system continuously monitors portfolio conditions, market signals, and collateral ratios through secure institutional APIs and data feeds. When risk conditions change — for example during extreme market volatility or a “black swan” event — the Vanguard Guardian automatically rebalances the portfolio toward safer assets.
While the strategy execution remains private, the final transaction is verified and settled on-chain, ensuring transparency and auditability without revealing the proprietary logic behind the decision.
This approach allows institutions to safely participate in DeFi while maintaining the confidentiality and competitive edge required in professional asset management.

Vanguard is built using the Chainlink Runtime Environment (CRE) as the workflow orchestration layer. The CRE enables secure off-chain computation while coordinating interactions between blockchain networks and external data sources.
The system is implemented in TypeScript using the CRE SDK. A CRE workflow monitors portfolio risk conditions by fetching institutional data feeds through Confidential HTTP. These feeds simulate real-world financial data sources such as NAV feeds or institutional APIs.
A monitoring workflow runs continuously and evaluates predefined risk triggers. If a high-risk market event is detected, the Vanguard Guardian executes a rebalancing action. The workflow then submits a settlement transaction to the blockchain.
For simulation and testing, the project uses Tenderly Virtual Testnets and mock APIs that emulate institutional data sources. The blockchain layer uses Ethereum or Arbitrum with mock ERC1155 RWA tokens representing tokenized real-world assets.
This architecture separates private strategy execution from public settlement, ensuring both confidentiality and verifiability.